Crucial Guide Reveals Professional Liability Secrets for Accountants
The Importance of Professional Liability Insurance
Professional liability insurance, also known as errors and omissions (E&O) insurance, is essential for accountants because it covers legal costs and settlements arising from claims of professional negligence. This type of insurance is vital because even the most meticulous accountants can make mistakes or face accusations of wrongdoing. According to industry data, the average cost of defending a professional liability claim can exceed $50,0001, making insurance a wise investment.